Facebook
Britain's News Portal
Around The Clock
BREAKING
Loading latest headlines…

Tenant referencing becomes tougher under Renters’ Rights Act

Tenant referencing is becoming more stringent following the introduction of the Renters' Rights Act, particularly since Section 21 was abolished on 1st May.

  • Tenant referencing is getting tougher under the Renters’ Rights Act.
  • Section 21 was abolished on 1st May, meaning landlords now need a valid ground for possession.
  • Landlords and agents are becoming more cautious regarding affordability, employment history, credit, and previous landlord references.

Tenant referencing has become more rigorous since the Renters’ Rights Act came into force. This change is partly due to the abolition of Section 21 on 1st May, which means landlords must now have a valid ground for possession and follow a proper process to regain their property.

This shift has led landlords and agents to be more cautious when assessing potential tenants. They are increasingly scrutinising affordability, employment history, credit checks, and previous landlord references.

However, some in the industry are questioning whether this stricter approach is becoming too rigid. Concerns have been raised that a blunt pass or fail system, without considering individual circumstances, could lead to suitable applicants being rejected if they do not fit standard criteria.

Becky Clarke, co-founder of Amhurst Lettings, suggests that while thorough due diligence is important, a more nuanced approach is needed. This would involve understanding inconsistencies in applications and considering the full picture, rather than relying solely on standard metrics.

Why this matters: The changes in tenant referencing reflect a shift in landlord risk assessment following the Renters' Rights Act, potentially impacting how prospective tenants are evaluated.

What this means for you: If you are a prospective tenant, you may find that landlords and letting agents are conducting more thorough checks on your affordability, employment history, and credit. You might need to provide more detailed evidence or explanations for any non-standard aspects of your application.

Related Articles

Get the news that matters.

Join thousands of readers getting the best of British news straight to their inbox.